Valuation Of Animation Enterprises

Since the reform and opening up,the development of China's capital market and market economy has matured,and the analysis of enterprise value creation has also deepened.As an important way and means to measure the creative ability of enterprise value,the enterprise value evaluation can provide some reference for the strategic planning,value management and investment decision of the enterprise.At present,China's economic development is still changing,and the national economic situation is also improving.With the improvement of our material life and the increasing demand for spiritual culture,people are increasingly focusing on the development of cultural industry.As part of the cultural and creative enterprises,animation enterprises have great development potential and broad development prospects in the background of the macro environment which is highly valued and supported by the cultural industry.In the process of commercialization and industrialization of animation,animation enterprises will inevitably face many financial activities in the capital market,such as financing,listing,merger,reorganization and so on.As China's animation industry continues to grow,people's preferences for investment in animation and media companies are also rising.Therefore,it is particularly important to evaluate the animation industry in a reasonable way.At the same time,it is of great significance not only to provide valuations for investors but also to improve the intrinsic value of the enterprise,improve the management and maintain the healthy development of the enterprise.By using the literature analysis and the case analysis,this paper selects the first listed animation enterprise of our country as a case company to evaluate its enterprise value,which has certain representative.Combing the domestic and foreign theory and method of enterprise value assessment,the characteristics of each evaluation model and the advantages of free cash flow method and the business structure,competitive advantage and industry prospects and the financial situation of enterprise history,this paper analyze the applicability of free cash flow method to the valuation of case enterprises.Under the assumption of the perpetual operation of the Alpha Group,this paper used the two stage model to evaluate the value of the Alpha Group,and made the sensitivity analysis of the related parameters of the value evaluation.The influence of the characteristics of the animation enterprise on the valuation results are also analyzed in this paper.On the basis of the analysis above,this paper puts forward the corresponding measures to improve the enterprise value on the perspective of theenterprise management,such as paying attention to the training of the core business,strengthening the independent innovation,strengthening the core competitiveness,strengthening the cost control of the cost and the cost of sales management,and raising the proportion of the enterprise's debt reasonably.Meanwhile this paper puts forward suggestions of prudent investment for investors.At the end of this paper,we conclude the conclusion as follows: the intrinsic value of the entertainment enterprise of the application of free cash flow is higher than the market value;the influence of its own characteristics on the valuation;the cause of the intrinsic value evaluation is lower than the market price;the free cash flow method can be used to evaluate the enterprise value for the management of the enterprise and it can provide a reference for promoting intrinsic value,improving management and investment.